Did The FUD Get To You ?
The last few days there has been lots of speculation surrounding the South Korea ban and the eventual (inevitable) regulations in general. Disinformation is everywhere and the average crypto trader is confused. For example the South Korea ban is one man's opinion, but that did not matter, when 200B of market value was wiped in 3 hours time. Altough this is only a rumor and nothing is confirmed - 25% of the market cap - gone !
Know your stuff
A smart investor knows that the value of the underlying blockchain technology does not depend on the price action and if he believes in the project, this price fluctuations should not bother him. The problem comes with people totally unaware of the technology and crypto in general. They are in for the quick buck ( Which is totally fine), but when you don't have any kind of conviction, it is difficult to take the 25 % loss lightheartedly. So the first thing everyone should do is to know the fundametals of your investments, that way you will be safe.
The job of the crypto-trader is to be ahead of pack - read the signals of the charts and combine this knowledge with the political environment. Most of the crypto-traders I know at the moment are in cash positions, waiting for a good opportunity ( like December 22). If you are new to the crypto-space, you might consider seeking for expert opinion. Here on Steemit there is plenty of information, regarding technical analysis and fundametanls.
Conclusion
Every participant trader or investor should do his due dilligence. When you know the facts and you are informed, the chances are you are going to make better decisions. In trading and investing a slightly better decision can be worth thousand or even millions.
Stay informed and FULL STEEM ON !
I woke up the other day to the latest surprise from South Korea. Fortunately I apparently had slept through the worst of the drop and Bitcoin had already started to recover. That saved me a little anguish over rapid fluctuation. I know better than to overreact to the latest rumor, but it sure does make you wonder when you see your holdings take a hard turn down.
Yes, when yoy see 20-30 % loss in your portfolio, it becomes much harder to not give in to the FUD. Although there are situations, when I wouldn't mind to take precautions. For example the DAVOS meeting in Geneve. Good that you haven't put stops on your pisitions :D
Okay, thank bro, that's good information. Yes every new and small traders need experts advice.